Question

Madam C. J. Walker saw a need and filled it. In the early 1900s, Walker started her own business developing and manufacturing hair-care products for African American women. She bought supplies to create her products and hired women to sell them. Her company’s success resulted in Walker becoming the first female African American millionaire in the United States.

Which three factors of production are described in this scenario?

land, labor, and capital
land, capital, and entrepreneurship
labor, entrepreneurship, and land
labor, capital, and entrepreneurship

Answer 1

Step-by-step explanation:

In this scenario, the three factors of production that are described are labor, capital, and entrepreneurship.

1. Labor: Madam C. J. Walker hired women to sell her hair-care products. This refers to the physical and mental effort put into the production process. In this case, it involves the work done by the women who sold the products.

2. Capital: Walker bought supplies to create her hair-care products. Capital refers to the resources used in the production process. In this case, it includes the materials and equipment needed to manufacture the hair-care products.

3. Entrepreneurship: Madam C. J. Walker demonstrated entrepreneurship by starting her own business and developing and manufacturing hair-care products for African American women. Entrepreneurship involves taking risks, organizing resources, and making decisions to create and manage a business. Walker's vision and determination to fill a need in the market contributed to her success.

These three factors of production - labor, capital, and entrepreneurship - are essential components in the process of creating and running a business.